‘Twas the week before Christmas: Mawer’s 2022 in review

‘It’s not all doom and gloom, bear markets will end’ Traders work on the trading floor at the New York Stock Exchange as Christmas approaches. Photo by REUTERS/Andrew Kelly/File Photo Each year, the people at Mawer Investment Management Ltd. offer their year-end perspective in the form of a poem to Financial Post readers. Advertisement 2…
‘Twas the week before Christmas: Mawer’s 2022 in review

‘It’s not all doom and gloom, bear markets will end’

Traders work on the trading floor at the New York Stock Exchange as Christmas approaches. Photo by REUTERS/Andrew Kelly/File Photo

Each year, the people at Mawer Investment Management Ltd. offer their year-end perspective in the form of a poem to Financial Post readers.

’Twas the week before Christmas

Thus time to review

The economic story

Of 2022.

FP Investor

By clicking on the sign up button you consent to receive the above newsletter from Postmedia Network Inc. You may unsubscribe any time by clicking on the unsubscribe link at the bottom of our emails or any newsletter. Postmedia Network Inc. | 365 Bloor Street East, Toronto, Ontario, M4W 3L4 | 416-383-2300

What y’all know is coming

We would be remiss

To not raise inflation

It caused few any bliss.

As most of us can attest

Pump prices did soar

Our food is more expensive

Everything costs more 🙁

As inflation kept rising

To multi-decade highs,

Central banks kept committing

To bring its demise.

They rolled out the rate hikes

To tame the great beast

But despite their strong actions

CPI increased.

And the impact on markets

— It’s true and it’s sad —

For both equities and bonds

The decline was bad.

The impact was greatest

For high-flying tech

Unprofitable cash flows

Do now seem a wreck.

While stronger businesses

With power to price

Could maintain their margins

With little sacrifice.

But volatility loomed large

Throughout the whole year

When Powell did speak

’Twas risk-on or great fear!

Devastating conflict

Arose in Ukraine

Commodities went up

Supply chains felt pain.

There was more from China

That gave us the yips:

Much consternation over

Tiny little chips.

Deglobalization may lead

To a world multi-polar

Will the greenback remain

Currency’s high roller?

Cryptocurrency did plunge

Amid the spiral

Of FTX Exchange

The collapse went viral.

We avoid all the crypto

On it, we’re tough

In regards to our criteria —

It’s not “boring” enough.

We acknowledge the content

Of this poem seems bleak

Uncertainty remains

There are answers to seek.

Is a recession for sure?

Hard or soft landing?

Is this just a bear rally,

Or one longer standing?

But to end on a high note

This message we send:

“It’s not all doom and gloom,

bear markets will end.”

For now, we trust the process

Stay calm and prepare

Continue thinking long term

Choose “boring” over flare.

Our greatest wish for you all:

Your worries be light and

Have financial peace of mind

To sleep through the night.

Happy holidays from all of us at Mawer!

Recommended from Editorial

  1. Three investing lessons from Billions that could help save you a million headaches

  2. Five radical investing views and whether you should take advantage of them

Listen to Down to Business for in-depth discussions and insights into the latest in Canadian business, available wherever you get your podcasts. Check out the latest episode below:

Read More

Total
0
Shares
Leave a Reply

Your email address will not be published.

Related Posts
Defaced Putin Mural Tells the Story of Russia’s Waning Influence
Read More

Defaced Putin Mural Tells the Story of Russia’s Waning Influence

Serbia’s pro-Moscow stance looks increasingly hollow as the country juggles its economic interests and courts Chinese and Arab money. Author of the article: Bloomberg News Rodney Jefferson and Misha Savic vzy25ia2pqf57[eolsqyv4)2_media_dl_1.png Bloomberg RSS (Bloomberg) — The face of Vladimir Putin daubed onto a building on the corner of a street in Belgrade has the eyes and mouth covered in red…
Bear Market Leaves Bond Investors With Few Places to Hide
Read More

Bear Market Leaves Bond Investors With Few Places to Hide

It’s been a harrowing 12 months for global bond investors, culminating in a fall into a rare bear market. And there are few signs of a reprieve soon. Author of the article: Bloomberg News Finbarr Flynn and Garfield Reynolds 1kau}561{t31qg6u)cj4ocke_media_dl_1.png Bloomberg RSS (Bloomberg) — It’s been a harrowing 12 months for global bond investors, culminating…
China approves use of Pfizer’s COVID drug Paxlovid
Read More

China approves use of Pfizer’s COVID drug Paxlovid

Author of the article: BEIJING — China’s medical products regulator said on Saturday it has given conditional approval for Pfizer’s COVID-19 treatment Paxlovid, making it the first oral anti-coronavirus pill approved in the country to treat the disease. The National Medical Products Administration said Paxlovid has obtained conditional approval to treat adults who have mild…